How AI-enabled xMOs are shaping the future of GCC economies

Through collaborations with government and private sector organizations across the GCC, EY MENA has identified five critical challenges that consistently hinder xMO power and impact:

1. Strategy–execution disconnect

Bridging the gap between strategy and execution requires both timely, data-driven decisions and strong leadership reinforcement. Fragmented oversight and limited visibility often hinder translating plans into measurable outcomes.

2. Overwhelmed resources

Resource constraints often stretch xMO teams, leading to burnout and reactive firefighting. Without automation and predictive insight, leaders struggle to balance demand with capacity.

3. Resistance to change

Transformation stalls when benefits are not clearly visible to stakeholders. Skill shortages and limited governance frameworks reinforce resistance, making it hard to translate strategies into measurable impact.

4. Capability gaps

xMOs need strong internal capabilities in digital delivery, data management, and emerging technologies. Continued investment in upskilling is crucial for building confidence in new systems and embedding long-term adoption.

5. Data quality and availability

Strong data foundations are critical for transformation. Inadequate data infrastructure and lack of a clear data strategy undermine trust in digital systems and slow AI adoption.

The GCC countries are moving beyond traditional reporting to become strategic control hubs. By integrating advanced technologies, xMOs can unify intelligence and action across government ecosystems. This holistic approach connects IT, HR, risk and citizen services, enabling agile execution and measurable impact.

Key elements for the successful transformation of xMOs into strategic control hubs include:

1. Turning vision into action:
   Leaders must define clear strategies aligned with national priorities and prioritize high-impact use cases to maximize value.
   
   
2. Building sustainable capabilities:
   Ongoing upskilling in digital, AI and governance empowers internal teams to drive transformation from within.
   
   
3. Embedding lasting change:
   Human-centric processes and strong stakeholder engagement are essential for sustained adoption and impact.
   
   
4. Unlocking trusted data:
   Robust data architectures and real-time dashboards enable confident decision-making and accelerate AI readiness.
   
   
5. Tracking value delivery:
   Clear KPIs and value frameworks help measure progress, align initiatives and demonstrate return on investment (ROI).

Shaping the future of strategy execution

The xMOs of the GCC are at a turning point. They can continue to operate as administrative reporting centers or emerge as strategic control towers for national reform.

By combining advanced platforms with AI-driven insights and human-centered consulting, governments can finally bridge the gap between ambition and delivery.

When transformation offices transform, the entire ecosystem benefits — accelerating national reform, strengthening public trust and creating lasting value for citizens.